Jakarta, huutoanland Indonesia
—
Automotive observers assess that the government needs to change incentives which currently prioritize electric cars (BEV) over other types of electrification such as
hybrid
(HEV).This change is necessary because national car sales are falling and it is estimated that they will not be able to reach the target of 900 thousand units.
Riyanto, a senior researcher at the Institute for Economic and Community Research, Faculty of Economics and Business, University of Indonesia (LPEM FEB UI), said that the policy for hybrid cars with an incentive of only 3 percent is not fair compared to electric cars.
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Currently, hybrid cars receive a 3 percent luxury goods sales tax (PPnBM) discount incentive which will end at the end of the year.
Meanwhile, electric cars receive incentives in the form of 0 percent PPnBM provided they are produced domestically.Apart from that, there is a Government Borne Value Added Tax (VAT DTP) of 10 percent so that VAT is only charged at 1 percent.
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Electric cars are also more special than hybrid cars because they are not burdened by Motor Vehicle Tax (PKB) and Motor Vehicle Title Transfer Fee (BBNKB).
Meanwhile, hybrid cars are subject to VAT, PKB, BBNKB and opsen.
There are still other incentives that electric cars get, namely incentives for exemption from import duties of 50 percent so that it is enough to be taxed at 12 percent instead of the required 77 percent.However, this incentive will run out this year.
“This segment needs to be given a fairer policy based on emission reduction and TKDN. The current incentives for HEVs are not fair,” said Riyanto in an official statement, Wednesday (26/11).
According to Riyanto, the push for hybrid car incentives is now more relevant because more and more manufacturers are producing hybrid models domestically and not just Japanese brands.
Honda has assembled the HR-V e:HEV at its factory in Karawang, while Wuling Indonesia produces the Almaz Hybrid in Bekasi.
Most recently, Toyota produced the Veloz HEV at the Karawang Factory with a TKDN of more than 80 percent.The presence of the Veloz HEV adds to Toyota’s line of hybrid cars produced locally in Indonesia.
Previously, Toyota Indonesia had produced the Kijang Innova Zenix HEV in 2022 and the Yaris Cross HEV in 2023 at the Karawang factory, West Java.
Riyanto assesses that sales of hybrid cars in 2026 will grow, especially because the import duty-free incentive for electric cars ends this year.Apart from that, it is felt that hybrid cars will be more easily accepted by the public because not all areas have Public Electric Vehicle Charging Stations (SPKLU).
“What is clear is that next year HEV will be better than this year, because this year CBU BEV sales are eroding the CKD BEV and HEV markets. My estimate is that HEV can get 5 percent of the market share. Several players who previously only sold BEV will offer HEV, so there will be many model variations from small to large,” said Riyanto.
Minister of Industry Agus Gumiwang Kartasasmita recently expressed his support for the automotive sector which is said to have a high multiplier effect on other sectors in the national economy.Agus said he was ready to propose incentives and stimulus for automotive next year.
“The Ministry of Industry is now in the process of formulating proposals that will be submitted by the government, in this case the Coordinating Minister for the Economy. We are currently working on incentive and stimulus policies for the automotive sector which we will propose for the 2026 fiscal policy,” said Agus.
(fea)
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